first_img Servicers Navigate the Post-Pandemic World 2 days ago Previous: DS News Webcast: Monday 3/31/2014 Next: Texas Employment Still Growing; Oil and Gas Industry Lead About Author: Colin Robins March 30, 2014 778 Views Servicers Navigate the Post-Pandemic World 2 days ago Sign up for DS News Daily Clear Capital Distressed Sales Growth Home Data Index Home Sales 2014-03-30 Colin Robins The Best Markets For Residential Property Investors 2 days ago Tagged with: Clear Capital Distressed Sales Growth Home Data Index Home Sales Clear Capital, a provider of data and solutions for real estate asset valuation and collateral risk assessment, released its Home Data Index Market Report with data through March, 2014. The report noted that the frosty winter left home prices mostly flat, while saturation of distressed homes remained stable at 21.8 percent.Year-over-year, home prices increased by 9.8 percent, and .7 percent sequentially.The report noted that the Midwest is still experiencing non-existent growth over the quarter, causing concerns in the region.”Our data through the end of March reveals prices remained steady through the final weeks of winter, a sigh of relief to all market participants,” said Dr. Alex Villacorta, VP of research and analytics at Clear Capital. “Yet, national quarterly gains of just 0.7% mean there’s certainly still risk for short-term price declines in some markets.”Low tier home sales, which are classified as homes selling for $95,000 and less, have fueled recovery for the past two years, according to Clear Capital. The report found, “This deeply discounted sector attracted enough buyers to drive prices up 31.8% from the bottom of the market in 2011. Over the last quarter, however, low tier home price gains slowed to just 1.2%—a big difference from 3.7% a year ago.”Clear Capital hypothesizes the increasingly stable market could motivate first time and “move-up” home buyers to purchase homes.Home prices were outpaced by the owner’s equivalent of rent for 21 out of 23 quarters. This environment was particularly friendly to investors, who saw attractive returns that helped drive investor demand past historical norms.According to the report, “While the recovery took hold, home price gains outpaced growth in the owners’ equivalent of rent in most of 2012 and 2013.”Villacorta believes a few shifts are essential in order to maintain market stability.”The key to overall market progress and stability in 2014 will lie in the transition from investor to traditional home buyer demand,” he said.Villacorta added, “While each segment will continue to be important, healthy markets have shown higher rates of traditional home buyer demand and less investor-driven demand. Should prices remain stable, home buyer confidence will build, supporting a balanced transition.”The highest performing major metro markets quarter-over-quarter for March were all in California: Riverside, California (2.5 percent); Fresno, California (2.1 percent); San Diego, California (2.1 percent); Sacramento, California (2.1 percent); and Los Angeles, California (2.1 percent).The lowest performing major metro markets quarter-over-quarter for March include: New Orleans, Louisiana (-2.6 percent); Dayton, Ohio (-2.4 percent); Jacksonville, Florida (-0.2 percent); Milwaukee, Wisconsin (-0.1 percent); and Baltimore, Maryland (-0.1 percent). The Week Ahead: Nearing the Forbearance Exit 2 days ago Demand Propels Home Prices Upward 2 days ago Subscribe Colin Robins is the online editor for DSNews.com. He holds a Bachelor of Arts from Texas A&M University and a Master of Arts from the University of Texas, Dallas. Additionally, he contributes to the MReport, DS News’ sister site. center_img Home / Daily Dose / Home Prices Remain Flat; Distressed Homes Stable in March Data Provider Black Knight to Acquire Top of Mind 2 days ago Home Prices Remain Flat; Distressed Homes Stable in March Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago in Daily Dose, Featured, Market Studies, News The Best Markets For Residential Property Investors 2 days ago  Print This Post Demand Propels Home Prices Upward 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Related Articles Share Savelast_img